Question: Using the following criteria, build a 15-period binomial model whose parameters should be calibrated to a Black-Scholes geometric Brownian motion model in order to compute

Using the following criteria, build a 15-period binomial model whose parameters should be calibrated to a Black-Scholes geometric Brownian motion model in order to compute the price of an American call option and an American put option.

Critera: Time (T) = .25 years, Current Price (S0)=$100, Strike Price (K)=$110, Discount Rate (R)=2%, Volatility (Sigma) = 30%, Dividend Yield (C)=1%

Note: Have already tried $2.53, $2.58, and $2.56 for American call option price & 12.29, 12.30, and 12.33 for the American put option price.

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